O.P. Agarwal vs U.P. STATE FINANCIAL CORPORATION

THE Complainant in this case has prayed that the recovery of the sum advanced by the Opposite Party. U.P. Financial Corporation to him as an entrepreneur for construction of buildings and machinery should be deferred. He has also claimed compensation of Rs. 2.0 lacs per annum from January, 1977 till the facilities and services promised by U.P. Financial Corporation are made available and further compensation of Rs. 15 lacs for loss of social status and public prestige as he has been not able to set up his small scale industry due to deficiency on the part of the Opposite Party Corporation in providing the promised package of assistance.

THE Complainant has submitted that the U.P. Financial Corporation was to set up an In- struments Complex at Roorkee by constructing factory buildings, establishing laboratories and common facility centres for testing and quality production and providing technical know-how. In addition, working capital was to be arranged through Commercial Banks and assistance given for procurement of raw materials. THE U.P. Financial Corporation, it is alleged, has failed to set up the Instruments Complex and did not provide the facilities promised except to give some finance for construction of a factory building and for procurement of machinery and the result is that the investment made in the unit is dead only creating the burden of interest and repayment of principal ''of the term loan received from the Opposite Party - U.P. Financial Corporation. THE Opposite Party U.P. Financial Corporation has disputed the allegations made against it by the Complainant-petitioner. According to the Opposite Party U.P. Financial Corporation, the Complainant was sanctioned a term loan of Rs. 2,16,000/- against which he availed of loans to the extent of Rs. 1,50,800/-. THE Union Bank of India, Roorkee had also pro- vided the Complainant with working capital loan. According to the Opposite Party the Complainant is a defaulter in the matter of payment of interest and repayment of principal. It may be that the Opposite Party - U.P. Financial Corporation did not set up the Instruments Complex at Roorkee as originally advertised and this might have been a handicap to the establishment of Weighing Machine Unit by the Complainant. But it cannot be maintained that there was any hiring of service for consideration by the Complainant in the matter of establishment of Instruments Complex with the facilities as envisaged. Secondly, it is a stale claim going back to the ''70s and early ''80s and, therefore, it is highly belated. This complaint is therefore, not maintain- able and is dismissed without costs. Complaint dismissed.